When I first invested in this company I was aware of the potential to earn divs from mining, but actually it was the profit from hardware sales that I thought was most exciting.
So any thoughts on why this has changed?
So any thoughts on why this has changed?
The other aspect to it is that the sale of mining equipment gives you immediate USD funds whereas putting that machine on the farm gives you that money over a period - let's say 2 months.
As an example we could have a miner retailing at 25kUSD which cost 5k to make. An instant sale would net us 20kUSD profit giving us 10k for divs and 10k for reinvest fund. Crucially that reinvest 10k is available a short time after the miner is assembled. However if we put that machine on the farm the 10k for reinvest might not materialise for 2months. Obviously that 2month delay effects how quickly we can order more chips and miner components. In that example, if we are trying to grow the business quickly then the sale of the miner does us the best service. And ofcourse BTC could fall dramatically meaning the miner on the farm never makes payback and so we never get the 10k to reinvest.
So clearly from that I would say we need to:
SELL miners for the reinvest money
PUT MINERS ON FARM for long-term divs
We need to do both the maximise turn around time and maintain good divs.
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